Market Overview
The buying pressure around the single currency is picking up pace on Tuesday amid the US-
China trade optimism and pushing EUR/USD higher in the 1.18 neighborhood. The better mood
in the financial markets is acting as a drag on the safe-haven US dollar. The focus will be on the
German IFO – Expectations index.
Gold is reporting marginal gains during Tuesday's Asian hours. Gold’s immediate bias will
remain neutral while prices are held within the $50 range defined by Monday’s high of $1,962
and Friday’s low of $1,912.
EUR/USD
The latest advance of EUR/USD fell short of reverting the bearish tone of the pair, according to
intraday technical readings. The 4-hour chart shows that the pair met sellers around a bearish
20 SMA, also settling below a flat 100 SMA.
Technical indicators, in the meantime, recovered from near oversold readings but failed to
regain positive ground, now stable within negative levels. The risk is skewed to the downside,
with further declines expected on a break below the 1.1760 support area.
GBP/USD
The GBP/USD pair is ending the day in a relevant support area, somehow suggesting a bearish
extension for this Tuesday.
The 4-hour chart shows that the pair retreated after testing a bearish 20 SMA, while technical
indicators have turned flat within negative levels, after a failed attempt to retake positive ground.
From the current level, the pair has an immediate support level at 1.3010, with a stronger one at
1.2980.
USD/JPY
The USD/JPY pair is offering a neutral stance as the day comes to an end. In the 4-hour chart, the
pair has spent most of the day between its 20 and 100 SMA, both maintaining modest bullish
slopes.
Technical indicators, in the meantime, remain directionless around their midlines. An immediate
support area comes around 105.45, with a steeper decline expected once below it. Bulls could
take their chances on a break above 106.20.
AUD/USD
AUD/USD is off the highs but holds gains above 0.7150 amid the risk-on mood. The pair is
moving upward alongside the ascending trendline. The 20 DMA turns flat during the Asian
session.
The support of the pair is near 0.7140. The resistance is around the monthly high 0.7275.
XAU/USD
The yellow metal carved out a long-tailed hammer on Friday and an inverted hammer on Monday
in D1 chart. In other words, Friday’s low is the level where buyers stepped in, while Monday’s
high marks a price point where buyers failed to absorb selling pressure.
As such, $1,962 and $1,912 are key levels to watch out for this week. A break above $1,962 would
signal a range breakout and open the doors to $2,000. On the other hand, a move below $1,912
would expose the low of $1,863.
XTIUSD
Unless breaking a short-term ascending triangle, currently between $43.42 and $41.65, oil prices
are likely to remain compressed.
The quote’s another attempt to slip below 200-bar SMA level of $41.30 can’t be ruled out. In
doing so, 50% and 61.8% Fibonacci retracement, respectively near $41.60 and $41.00, will be on
their radars. On the flip side, buyers will wait for a clear break of nearby resistance line, at $42.92
now.
Tuyên bố miễn trừ trách nhiệm: Quan điểm được trình bày hoàn toàn là của tác giả và không đại diện cho quan điểm chính thức của Followme. Followme không chịu trách nhiệm về tính chính xác, đầy đủ hoặc độ tin cậy của thông tin được cung cấp và không chịu trách nhiệm cho bất kỳ hành động nào được thực hiện dựa trên nội dung, trừ khi được nêu rõ bằng văn bản.
